"An employee has the opportunity for work outside the company for a period of approximately 6 weeks. Because of decreased workload within the company, this is met with a favorable response from management. There is no precident for continuation of employer contributions toward health insurance, accumulation of sick leave, etc. Any suggestions?"

It seems like this should be considered as a leave situation. In that
case it would depend on your companies leave policy. It's possible the
company could continue to contribute toward health insurance but may
suspend accumulation of sick and/or vacation benefits.
________________________________
From: Veronika Martin via benefits-northamerica
[mailto:benefits-northamerica@Groups.ITtoolbox.com]
Sent: Tuesday, March 10, 2009 2:04 PM
To: Lear Tom
Subject: [benefits-northamerica] Extended Leave Without Pay and Benefits

An employee has the opportunity for work outside the company for a
period of approximately 6 weeks. Because of decreased workload within
the company, this is met with a favorable response from management.
There is no precident for continuation of employer contributions toward
health insurance, accumulation of sick leave, etc. Any suggestions?

We often we allow the employee to keep an active status but they still
pay his/her share of any benefits. (Or you can have him/her pay the
total amount of insurance (the company and employee paid portions) for
the time period they are out.) When an employee is on a leave of
absence they do not accrue any paid time off nor are they eligible to
receive holiday pay, etc.

If you cancel the insurance, the employee could apply for COBRA and then
get back on the insurance after the 6 seeks. That's way too much work
for me. Just have them pay part or all of the insurance premiums. The
employee will be happy and you're life will be easier. **Put it in
writing. Insurance premiums for health, dental, life, etc. in the amount
of 999.99 shall be paid on or before April 17, 2009. Failure to pay may
result in loss of insurance as well as disciplinary action. Or something
like that.

An employee has the opportunity for work outside the company for a
period of approximately 6 weeks. Because of decreased workload within
the company, this is met with a favorable response from management.
There is no precident for continuation of employer contributions toward
health insurance, accumulation of sick leave, etc. Any suggestions?